UPDATE: Dell (DELL) PT Raised to $90 at Wells Fargo on PC Upside

February 26, 2021 5:55 AM EST
Get Alerts DELL Hot Sheet
Price: $93.34 -0.58%

Rating Summary:
    17 Buy, 17 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 19 | Down: 18 | New: 47
Trade Now! 
Join SI Premium – FREE
(Updated - February 26, 2021 7:13 AM EST)

Wells Fargo analyst Aaron Rakers raised the price target on Dell (NYSE: DELL) to $90.00 (from $80.00) while maintaining a Overweight rating after the company delivered F4Q21 results due to solid PC upside (commercial +16% y/y) and better-than-expected ISG results (+9.5% q/q).

The analyst stated "We increase our forward estimates (see below) and move our PT to $90 from $80. Key components of our positive thesis on Dell have been: 1) the company's continued execution on de-leveraging the balance sheet (now $29.2B core debt or ~2.5xdebt / adj. EBITDA); path to IG rating; de-leverage and IG rating will eventually shift capital return toward equity shareholders, and 2) VMware spin-o unlock (pointing to positive progress on discussions); ~$50/sh. intrinsic value per Dell share (w/ 20% discount). With the below noted guide, we're increasing our calendar 2021 and 2022 from $94.4B / $7.69and $97.0B / $8.11 to $97.4B / $7.94 and $101.4B / $8.18, respectively."

You May Also Be Interested In

Related Categories

Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change

Related Entities

Wells Fargo